While the financial markets in New York and worldwide continue to crumble, Insurance Commissioner Steve Poizner told those assembled at the California Workers’ Comp Forum that the state’s carriers remain financially sound thanks to their conservative investment practices and strict financial oversight by the state. Noting that he had just returned from meetings with the …
The experience rating system—one of the key underpinnings of the workers’ comp system that is often a trigger for employer anger and confusion—is set to get a facelift and an image makeover thanks to the recommendations of an industry task force. But will employers see a difference in their X-mods as a result of the …
MONTEREY – Just five years ago, Nurserymen’s Exchange, Inc. (NE), was on the brink of failure. Its workers’ comp rates were skyrocketing thanks to injuries and a “culture of tolerance” for ignoring rules and procedures. Nurserymen’s X-Mod was 55% above average and its costs increased 400% between 1999 and 2003. “We were heading out of …
Since January, producers have had to explain to some California employers with good workers’ comp safety records why their experience modifications (X-Mods) increased as much as 10 percentage points with no significant changes in claims. For many employers, the reward is both an increase in their X-Mods and an increase in rates. But WCIRB has …
The Workers’ Compensation Insurance Rating Bureau of California (WCIRB) will for the first time recommend that expected loss rates be changed midterm to ensure that employers’ experience modifiers (X-Mods) keep pace with quickly plummeting rates. The Bureau’s Classification and Rating Committee recommended recently that loss rates be reduced in the range of 7 percent on …
California employers are reacting with concern to outrage about changes to their workers’ comp X-Mods. Many employers with good safety records—including those with a no-claims loss history—are seeing higher experience modifications. Many employers are experiencing dramatic swings in X-Mods, so much so that some are getting an unexpected increase to their X-Mod or a smaller …